Cost for Tokyo 2020 gymnastics venue more than double the initial estimate

The cost was initially slated to be $81.61 million which has now increased to $190 million.

The venue, which will accommodate 12,000 spectators, will be raised at Tokyo’s Koto Ward with construction expected to be completed by October 2019, Kyodo news agency reported. (Source: Reuters)

The cost to build a temporary gymnastics arena for the 2020 Olympic and Paralympic Games in Tokyo has more than doubled with Shimzu Corp winning the $190 million (20.5 billion yen) contract, according to a report.

The venue, which will accommodate 12,000 spectators, will be raised at Tokyo’s Koto Ward with construction expected to be completed by October 2019, Kyodo news agency reported.

The cost was initially slated to be $81.61 million (8.9 billion yen), as stated in the candidature file presented to the International Olympic Committee (IOC) in 2013.

The organisers cited reasons such as increase in construction prices and bolstering the earthquake-resistance system for the cost hike. The building will be used, after the Games, as an exhibition hall until 2030.

They added the initial price reflected only the construction cost, while Shimzu’s bid included design cost as well.